Virgin Australia, Qatar Airways Alliance Approved by ACCC, Awaits Final Regulatory Nod
February 18, 2025
Virgin Australia has secured approval from the Australian Competition and Consumer Commission (ACCC) to partner with Qatar Airways for long-haul flights, pending final regulatory confirmation.
This partnership will enable Virgin Australia to operate 28 new weekly return flights between Doha and major Australian cities, including Perth, Brisbane, Sydney, and Melbourne.
ACCC Commissioner Anna Brakey emphasized that the alliance is expected to enhance public benefits, such as increased flight choices and improved connectivity for travelers.
Currently, Virgin Australia only operates international flights to Indonesia, Fiji, and Vanuatu, following its insolvency during the COVID-19 pandemic.
The ACCC dismissed concerns regarding the potential impact on local jobs, noting that Virgin is unlikely to independently launch long-haul services in the next five years.
However, Qantas has raised alarms about the partnership, arguing that employing Qatar Airways staff could undermine Australian jobs and has called for limitations on wet leases.
The final ruling from the ACCC is expected in early 2025, with a deadline for public feedback set for March 7, 2025.
In addition to ACCC approval, the partnership also requires the consent of Federal Treasurer Jim Chalmers and the International Air Services Commission.
The ACCC previously rejected Qantas' claims that the wet lease arrangement would violate the bilateral air services agreement between Australia and Qatar.
Despite operational challenges, the ACCC has reported a positive outlook for Australia's domestic aviation industry, with decreasing airfares and rising passenger numbers.
The Transport Workers' Union has urged Virgin Australia to maintain commitments to job security and employee rights amid concerns regarding Qatar Airways' human rights record.
A Virgin Australia spokesperson expressed optimism about the partnership, highlighting its potential benefits for Australian travelers, tourism, job creation, and freight exports.
Summary based on 4 sources
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Sources

news.com.au — Australia’s leading news site • Feb 18, 2025
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The West Australian • Feb 18, 2025
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The Nightly • Feb 18, 2025
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